Coming off fixed rate dilemma

F

Fourteen

Registered User
Messages
29
Young relative coming off a 3 year fixed rate (6 year old mortgage) got letter offering variable 2.75% at €200 p/m less than had been paying or the offer of re-fixing at between 1.25 & 2% higher depending on length of fix. The decision was made to stay variable for a while but before that was confirmed to building society another letter arrived saying mortgage was fixed at 3.99% for 3 years. The contact in the building society isn't making themselves available to discuss this and payment is due. Does she have to accept the fixed rate?
 
If you did not agree to go fixed, you should have automatically reverted to a variable rate! Maybe fixing is a good option, who knows! I myself have the same dilemma in July, coming off a two yr fixed rate!
 
she should follow it up but from what others have posted and other fixed rates I have seen 3.99% seems good for a 3 yr fix.
 
I have the opposite problem, I'm on variable, contemplating on going to fixed. My mortgage is with KBC who just recently upped their variable to 3.65. I have been offered a fixed rate of 3.99 for 3 years.

They have sent me the forms and if I want to avail of this offer, I must have the forms back to them before the 26th April. Not sure what to do to be honest....
 
thanks for all the advice folks. I think the €200 difference at the moment is what's making her hesitate as things are tight. My advice also would be to fix. The thinking is to stay variable now but fix when rates go up as there is €200 to play with.
 
Is she looking for certainty (fixed) or savings (variable)?
 
She's just come off a 5.05% fixed rate & I think the problem is that a monthly saving of €200 on the variable rate sounds inviting in the current climate. The problem is the uncertainty of future rises which makes fixing again @ 3.99% a sensible choice.
 
You must log in or register to reply here.
Back
Top